Abstract: How to improve the green water resource utilization efficiency is very important for China to realize comprehensive green transformation in the new development stage. Based on the panel data of cities in China from 2008 to 2020, this study found that the green water resource utilization efficiency in the sample period showed an upward trend by using EBM model, and the green water resource utilization efficiency in the pilot construction period increased at the highest rate. The empirical study showed that under the control of urbanization level, population density, opening up level and water use structure, the pilot policy of water ecological civilization city construction had improved the green water resource utilization efficiency by using difference-in-differences method. The above results passed a series of robustness tests. In terms of heterogeneity, there was time heterogeneity in the impact of pilot policies on green water resource utilization efficiency, and the impact had regional heterogeneity in cities with different levels of economic development, water resources endowment and environmental regulation intensity. Mechanism analysis showed that the impact was achieved by increasing sewage treatment, promoting technological progress, optimizing the industrial structure, speeding up water price reform and promoting water recycling.